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The decision by comes five yearsaftetr Alviso-based Tivo (NASDAQ:TIVO) sued EchoStar over whether some of its DVR technologh violates TiVo patents. Dish Network used to be part ofEchoStar (NASDAQ:SATS). It split into two companiesx at the startof 2008. A jury found in 2007 that softwarde inDish Network's set-top boxes violatedr TiVo patents covering DVR playback features, like the abilityt to pause and rewind live programming while the DVR continuesa to record. Dish Network reprogrammex millions of its DVRs after the 2007 verdict with a it said removed anyinfringinvg software.
But TiVo claimed Dish Network’w software “workaround” continued the old patentf violation and sought the contempt verdict from theTexas court. Dish Network has already paid nearly $105 million of the damages and interest from the initia infringement judgement and hasanother $27 milliohn in escrow for TiVo, according to Securitied & Exchange Commission filings. TiVo issued a statement Tuesday praising thecontempt ruling. “EchoStar may attempt to further delaythis case, but we are very pleased the courr has made it clear that there are major ramifications for continued infringement,” TiVo’s press releas said.
Dish Network issued a statement Tuesday saying it will appeapl the contempt verdict and seek a stay onthe verdict’w requirement that Dish start disabling features in many of its DVRs withinb 30 days. “We believwe a stay is warranted and that we have strong grounddfor appeal. Our engineers spent close to a year designinharound Tivo’s patent and removed the very features that Tivo said infringefd at trial.
Existing Dish Network customerxs with DVRs are not immediateluy impacted by theserecent developments,” the company’s written statement
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